Tennessee House Bill HB0784

Tennessee 2025-2026 Regular Session

• Introduced: 2/4/25
• Refer: 2/6/25

Caption

AN ACT to amend Tennessee Code Annotated, Title 67, Chapter 6, Part 3, relative to sales and use tax exemptions.

Summary

HB0784 creates a new sales tax exemption for the retail sale of infant formula, diapers, and wipes designed to be used by infants and children. The bill defines infant formula as a liquid or powder intended as a complete or partial substitute for human milk or otherwise represented as a special dietary food for infants and children. The measure amends Tennessee Code Annotated, Title 67, Chapter 6, Part 3, by adding a new exemption to the state sales and use tax law. If enacted, these items would no longer be subject to the retail sales tax beginning July 1, 2025.

Impact

The bill would reduce the tax base under Tennessee’s sales and use tax statutes by exempting a category of essential child-care goods from taxation. It would directly affect retailers selling infant formula, diapers, and baby wipes, and indirectly benefit families with infants and young children by lowering out-of-pocket costs for these necessities.

Sentiment

No committee transcripts or recorded votes were provided, so there is no direct evidence of debate or opposition in the available materials. Based on the bill text alone, the proposal appears consumer-focused and likely intended to provide financial relief to families with young children.

Contention

The available record does not show specific points of contention, but bills creating sales tax exemptions often raise questions about lost state revenue, whether the exemption should be limited to certain products, and how broadly items like wipes should be defined. Any disagreement would likely center on the fiscal impact to the state versus the consumer savings for parents and caregivers.